Novelis today announced a price increase of 160 Euro per ton for all of its automotive aluminium sheet products in Europe. The price change is effective immediately for all new orders not covered by current supply agreements.
“The price increase announced today reflects the strong demand for our automotive sheet products, which has resulted in a prevailing tight supply situation,” said Roland Harings, Vice President of Global Automotive for Novelis Inc. “Automobile manufacturers are increasingly turning to aluminium as the material of choice to reduce vehicle mass and help meet new targets in performance, fuel efficiency and reduced emissions. In response to this demand, we are expanding our capacity to meet growing customer requirements for high-volume delivery of Novelis aluminum for a new generation of lighter-weight vehicles.”
Novelis is currently investing more than $310 million to increase its production of innovative aluminium sheet products for leading automotive manufacturers. In addition to established plants in Nachterstedt, Germany, and Sierre, Switzerland, the company recently qualified its plant in Göttingen, Germany, as a third location in Europe to serve the automotive market.
“In addition to this expansion in Europe,” noted Harings, “we have new automotive sheet expansions under way in Oswego, New York, and Changzhou, China, to serve our customers’ rapidly expanding global needs. These moves, along with our continued focus on developing innovations in the automotive aluminium industry – including new high-recycled content alloys and extending our closed-loop recycling business model – further demonstrate our commitment to remaining the aluminium sheet leader for the automotive market.”
Novelis is the world’s largest supplier of aluminium rolled products to the automotive industry, with a global market share of over 50 percent. More than 180 vehicle models across the world today use Novelis aluminium in applications such as hoods, tailgates, fenders, doors, roofs and vehicle structures. Novelis premium aluminium products are also used for components such as engine supports, cross members, crash-resistant passenger compartments, peripheral energy-conversion areas and mounting platforms for drive units and axles.